Tactical Decisions: Distribution

This marketing tactics section lays out the distribution plan for the product or service. Distribution is a broad concept that includes all activities and entities (e.g., value chain partners) responsible for getting the product or service to the customer. Distribution costs can represent a high portion of the overall cost of the product so an efficient distribution system may be critical for marketing success. (Length: 1-3 pages)

  1. Brief Summary of Current Distribution Network/Value Chain Decisions
    • Types of channels used:
      • direct – e.g., direct via sales force, internet, etc.
      • indirect – e.g., retailers, wholesalers, agents
      • combination
    • Level of market coverage:
      • intensive – e.g., mass availability
      • selective – e.g., wide availability
      • exclusive – e.g., restricted availability
    • Outlets handling product:
      • types
      • number/level of penetration
      • geographic location
    • Perceived product positioning:
      • in relation to competitors
    • Distribution costs
  2. Identify Planned Changes
    • Summarize changes
    • Justify changes:
      • Due to results
      • Due to research
      • Due to competition
      • Others
  3. Describe Planned Changes
    • Objectives:
      • e.g., account development, gain distributor support, account maintenance, account penetration
    • Types of channels employed
    • Level of market coverage
    • Outlets handling product
    • Product positioning
    • Distribution costs